Pakistan, World Bank Group Agree to Accelerate Reforms and Investment-Led Growth -

Federal Minister for Economic Affairs Ahad Khan Cheema met World Bank Group (WBG) President Ajay Banga on the sidelines of the 2026 WBG–IMF Annual Meetings in Bangkok to discuss the next phase of cooperation aimed at accelerating Pakistan’s economic growth, attracting investment and creating productive jobs.

The meeting focused on translating macroeconomic stabilization into sustainable, investment-led growth, stronger employment opportunities and improved living standards. It built on President Banga’s visit to Pakistan in February 2026.

Cheema acknowledged the WBG president’s efforts to improve the institution’s operational efficiency, particularly reducing average project preparation time from 19 months to nine months. He also welcomed the WBG’s record US$112 billion in private capital mobilization in fiscal year 2026.

The minister highlighted Pakistan’s ongoing government-wide reform initiative, led by the Prime Minister’s Steering Committee on Implementation Reforms, which aims to address institutional bottlenecks, streamline procedures and speed up project execution.

Both sides agreed on the need to further improve operational efficiency, simplify processes and accelerate the delivery of development projects.

Cheema stressed that the WBG’s Country Partnership Framework (CPF) and policy reforms should be aligned with large-scale investments capable of expanding productive capacity, encouraging private-sector investment and generating employment.

Priority areas include digital transformation and artificial intelligence (AI), minerals and value addition, primary healthcare, skills development, agricultural value chains, energy and transport infrastructure.

He also emphasized the importance of continued WBG financing for strategic initiatives, including the Main Line-1 (ML-1) railway project and the National Artificial Intelligence and Economic Development Program. These initiatives, he said, could improve connectivity, strengthen competitiveness and support sustainable economic growth.

The minister called for measurable development outcomes, effective monitoring and a stronger focus on tangible improvements in the lives of ordinary Pakistanis.
Highlighting the role of private enterprise, Cheema said the government was committed to making the private sector a key driver of investment, innovation and job creation. This includes a target to double financing for small and medium-sized enterprises (SMEs) by 2028.

President Banga reaffirmed the WBG’s support for Pakistan’s efforts to expand private-sector activity and mobilize investment. He underlined the importance of selecting capable financial institutions and private-sector partners that can deliver sustainable benefits to businesses and communities.

The two sides also discussed the potential role of a sovereign wealth fund in mobilizing investment while ensuring that privatisation does not compromise strategic national interests.

Both reaffirmed their commitment to a forward-looking partnership that combines Pakistan’s development priorities with the WBG’s expertise and capacity to mobilize public and private capital. The shared objective is to turn reforms and strategic investments into sustained economic growth, productive employment and a better quality of life for Pakistanis. – ER/PID

Apeared in print – ER, Oct 2026 – Issue – II

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